Self Directed IRA provider

[Fernando E.]

Hi BPers,

Hope you are all well 

Wanted to reach out and see if you have any recommendation for a company that can help me use my 401K from previous employers (now with Fidelity IRA) and convert them to a self directed IRA so I can use this to buy long term out of state real estate properties.

I live in the bay area and will appreciate your input guys

Thanks,

Fernndo  

[Dmitriy Fomichenko]

Fernando,

First you should determine which self-directed retirement account would be the best fit for you. There are several options available:

1) Custodial self-directed IRA - your funds are held with custodian allowing alternative investments, you can invest into almost anything but every transactions goes through custodian with applicable fees.

2) Checkbook IRA allows you to bypass the custodian and have checkbook control over your IRA.

3) Truly self-directed Solo 401k is the most flexible and cost efficient, it does not require a custodian, offers checkbook control, allows you to personally borrow from your account, not subject to UBIT on leveraged real estate and offers contribution limit 10 times more than an IRA. It is not for everyone however, you must have legitimate self-employment activity or small business w/o full time employees in order to quality.

There are several reputable providers who are active participants on the forum, do some search, read other discussions, contact couple of them and personally interview them, review their references, then make your choice.